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Layoffs are no fun, and a lot of companies seem to be either doing that or going down the drain. Valve was the company that I least expected to do this kind of thing. It seems though that not even a good amount of care for your customers can stop this from happening. Despite the “reported” layoffs though, Valve is still pressing forward and they are not cancelling any projects. This coming straight from the mouth of Gabe Newell himself:

We don’t usually talk about personnel matters for a number of reasons. There seems to be an unusual amount of speculation about some recent changes here, so I thought I’d take the unusual step of addressing them. No, we aren’t canceling any projects. No, we aren’t changing any priorities or projects we’ve been discussing. No, this isn’t about Steam or Linux or hardware or [insert game name here]. We’re not going to discuss why anyone in particular is or isn’t working here.

No other comments were made about the legitimacy of the reported layoffs.